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No Place Like Home? The Causal Effect of Forced Relocation from Central Addis Ababa

Author

Listed:
  • Bryan, Gharad
  • Franklin, Simon
  • Getahun, Tigabu
  • Winton, Sarah

Abstract

Do central slums provide essential economic and social benefits to the poor? We collected bespoke data for 5,000 households to study mass forced clearances in Addis Ababa. Evictees were offered alternative subsidized housing further from the center. Exploiting sharp clearance zone boundaries, regression-discontinuity estimates show negative impacts on social networks, but positive impacts on work, earnings, housing quality and environmental amenity. Relocating households close to their ex-ante neighbors eliminates social costs. Slums are not essential: relocation policies can be designed to fully compensate residents, and the sale value of cleared land more than covers the cost.

Suggested Citation

  • Bryan, Gharad & Franklin, Simon & Getahun, Tigabu & Winton, Sarah, 2025. "No Place Like Home? The Causal Effect of Forced Relocation from Central Addis Ababa," CEPR Discussion Papers 20809, C.E.P.R. Discussion Papers.
    • Handle: RePEc:cpr:ceprdp:20809
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    File URL: https://cepr.org/publications/DP20809
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    JEL classification:

    • O18 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Urban, Rural, Regional, and Transportation Analysis; Housing; Infrastructure
    • R23 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Household Analysis - - - Regional Migration; Regional Labor Markets; Population
    • R31 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Real Estate Markets, Spatial Production Analysis, and Firm Location - - - Housing Supply and Markets

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